1. FTZ 101: An Overview of this
Federal Program
Steve Schellenberg
IMS Worldwide, Inc.

2. What is an FTZ?
A Foreign-Trade Zone (or Free Trade Zone) is a Federal Program, started in 1934 and in use in all 50 states today.
The FTZ allows Federal Taxes and Fees to be lowered, eliminated, or exempt from payment.
Anyone – any business who qualifies can get it.

3. What is a Zone Site? An Industrial Park
An Industrial Development inside a Port or Airport
A Company’s Facility (Subzone)

4. Identify the Region ARPC Serves New Zone Service Area (CBP out of TLH)
Calhoun, Franklin, Gadsden, Gulf, Jackson, Jefferson, Liberty, Leon and Wakulla Counties
New Zone Service Area (CBP out of TLH)
Franklin, Gadsden, Jefferson, Liberty, Leon, Taylor, Madison, and Wakulla

5. Tallahassee – 60 mi. Radius

6. Who are the Players?
Grantee = The local authority entrusted with the administration of the program in the local community
Operator = A company that operates under Zone Status, within its own facilities for itself or for the account of others
Users = Companies using the FTZ, either as an Operator or within an Operator’s facility
FTZ Board
US Customs and Border Protection

7. U.S. FTZ Structure U.S. Customs U.S. Dept of Commerce Grantee
Operator of
General-Purpose Zone
or Subzone
User
User
User

8. What Activity Occurs within Zones?
Distribution
Storage
Testing and Inspection
Repackaging
Assembly
Repair
Manufacturing

9. How Do Companies Save Money in an FTZ?
Duty Deferral
Duty Elimination
Duty Reduction
Customs Fees

10. What is the Process to Get an FTZ?
Local Sponsorship of the Grantee
Make an application to the FTZ Board
Activation of the user/importer/tenant
Normal processing time for all this = 12 months but now, under ASF, fully approved and Activated in 4-6 months!
Much faster ways, cheaper ways, but on a case by case basis….

11. Economic Development Tool
FTZ is a new site requirement
FTZ pays for itself at % ROI in the first year of implementation---if a company qualifies.
FTZ impacts supply chain velocity.
FTZ attracts and stabilizes jobs in a community.
EDCs across the country recognize the FTZ as a marketing and business attraction tool.